Getting Your Taxes Right, the Second Time Around

CNBC’s “On The Money” recently posted an article I penned titled, “Getting Your Taxes Right, the Second Time Around.” You can find a snippet of the post below, but the full article can be read on their site.

We all make mistakes, even on our taxes. An incorrect filing status, a missed credit or deduction, confusion about claiming dependents: any of these can happen to anybody. If you discover a mistake on your tax returns after you’ve filed you should immediately file an amended return.

The IRS will correct math errors or request missing forms—such as W-2s or schedules—when processing your original return. In these instances, do not amend your return. However, you should file an amended return if any of the following were reported incorrectly:

• filing status

• dependents

• total income

• deductions or credits

Amended returns allow you to fix errors on previously filed returns, which could result in an extra refund or an increased tax bill. Either way, you are better off getting it right the second time around than not at all. If your amended return shows you get an extra refund, well of course you’ll want to get your hands on that money.

But why would you amend your returns if it shows you owe more in taxes?

The IRS will look more favorably on your situation when you voluntarily fix it than if they discover the error and come to collect. Remember that they have the right to audit you for any reason for three years after you file your return. If they found out that you underreported your income and owe additional taxes they are going to want that amount plus interest and penalties. By bringing the mistake to light sooner, you may receive some leniency on penalties and be able to set up payments plans, depending on your individual circumstances.

Love in the Time of Taxes

Last week I wrote an article that has recently been published on CNBC’s “On The Money” Blog. For those of you who do not know, I have been a regular guest on the program for the past few months. You can find a snippet of the article I penned below, or the full article can be read here.

You’re in love! You’re getting married! Odds are taxes are the last thing on your mind. But, guess what? When you start filing joint tax returns, your spouse’s tax problems become YOUR tax problems. Having a few honest, frank discussions about your tax philosophy might just prevent some nasty arguments and tax problems down the road. What’s your strategy? Do you always get a big refund? Does your spouse always owe a good chunk come tax day? Get informed on tax laws and review your previous tax returns. Consult a tax professional if you feel out of your depth.

One of the smartest things is to make both partners responsible for the taxes. First, it is fairer than sticking one person with the entire chore. Second, being personally involved in your taxes makes both of you better stewards of your household’s financial situation. No matter how income is brought into your home, you are both ultimately responsible for paying taxes. Staying active in your tax situation helps keep you financially healthy.

In addition, never sign a return unless you know everything is true and properly stated. We all like to assume our partners are honest, but I can’t tell you how many people have no problem fibbing on their taxes. And little fibs can become huge tax problems. The IRS will hold you and your spouse both accountable for all taxes filed jointly even after a divorce. By signing the return you become complicit in any erroneous information. Best to challenge anything that doesn’t look right before filing.

But what can you do when it’s too late for prevention? What recourse do you have if you find the IRS is applying your tax refund to your spouse’s (or former spouse’s) liabilities?

Depending on your specific circumstances, you might be eligible for Injured Spouse Relief, or Innocent Spouse Relief.

I’m On the Money, I’m On the Money

That is right, I have two appearances on CNBC’s On the Money, with Carmen Wong Ulrich. Last night, I was on the telephone talking about Refund Anticipation Loans and Tax Scams. You can catch my appearance by clicking here to access CNBC’s website.

Tonight, I am going to be on via satellite discussing tax information only a tax attorney would know. I also will be answering callers’ questions, ensuring that they are “Armed and Dangerous” come this tax season. Check me out at 7:00 PM (Pacific).

How To Keep The IRS Out Of Your Investment Portfolio

As I mentioned yesterday, last night I made an appearance on CNBC’s On The Money. During the interview I spoke with Carmen Wong and gave advice on keeping the IRS out of your investment portfolios, and saving on your taxes. You can watch a video of the entire interview by checking out the link below on CNBC.com.

http://www.cnbc.com/id/15840232?video=1030958346

Roni Deutch appearance tonight, on CNBC’s On the Money

I will be appearing on CNBC’s On the Money with Carmen Wong Ulrich tonight, at 7:00 pm PST. Be sure to check your local listings to be sure you know what time the program airs. However, if you miss it then be sure to check back in a few days. I am hoping to post an embedded video of my appearance later this week.

On The Money, with Carmen Wong Uhlrich

Yesterday, to my surprise, I was added as a last minute guest to CNBC’s On the Money, with Carmen Wong Uhlrich. Via satellite, I answered specific viewer’s tax questions. See the clip by clicking here: http://www.cnbc.com/id/15840232?video=1022085138.